Champion Tax Service

Building enduring businesses these days is difficult. A tough economy and ever-fluctuating customer interests pose regular challenges to business owners.

So, how do you build a business to last? Obviously, there are no easy answers, but we loved what this article had to say about it.

https://www.jimcollins.com/article_topics/articles/building-companies.html

Tax Advisory Services: When You Need a Trustworthy South bay Pro

Tax Advisory Services: When You Need a Trustworthy South bay Pro Tax advisory services can make a huge difference when you’re making big financial decisions. Here are 4 decisions for which they’re crucial.

Ever feel like tax deadlines are like that distant relative who shows up unannounced? Well, here's your friendly reminder that Uncle Sam is knocking on the door again. The 3rd quarter estimated payment deadline is September 15th.

Set a reminder and make sure you've got things in order to make that deadline.

We'd like to take this Labor Day to thank all of you who've helped us change the stigma that's often associated with working in taxes.

Despite the stress that has come over the past few tax seasons, we still love getting to serve and represent you with the IRS.

May your Labor Day be restful.

Need something interesting to listen to other than the doomsday scroll and the latest tax change?

Try one of the most popular Ted Talks of All Time.
Ever listened to one of these before?
Which one and what did you like about it?

https://www.ted.com/playlists/171/the_most_popular_ted_talks_of_all_time

Bookkeeping cleanup usually becomes necessary for two main reasons: error and neglect. See how you do on the following little quiz:

🛑 Do you have expenses that have been incorrectly entered in QuickBooks?
🛑 Do you have expenses or income that hasn’t been tracked at all?
🛑 Has an employee ever misclassified an expense?
🛑 Ever forget to record a transaction?
🛑 Have your business books been reconciled at least on a monthly basis?
🛑 Do you audit your financial statements regularly to make sure everything that needs to be recorded, is being recorded?

Whatever your reasons, you might be realizing right now that you’re sitting on a financial mess.

Are you having a hard time getting an accurate picture of your finances?

Clutter and disorganized financial documents bring all kinds of stress. We've got a few simple steps to help you get your financial world in order:

EVERYTHING HAS A PLACE - Make sure all of your documents have a "home." Wherever you see receipts and bills piling up, well, that's a good place to set up a "home financial center."

KEEP OR TOSS? - Determine what to keep and what to throw away.
Keep: medical expenses, insurance policies, mortgage bills, warranties, investment records, tax-deductible receipts, tax returns
Toss: grocery receipts, credit card slips for non-tax deductible items, ATM receipts you've already reconciled

SORT YOUR PAPERS - Use these 4 categories:
- bills
- insurance
- bank & brokerage statements
- other important documents

UPKEEP - Spend 5-10 min/day (or 30 min/week) maintaining your files. Open your mail near the trash bin. Circle the due date for bills and file them in the proper order. Then file what needs to be kept.

Here's a "big picture" concept that will bring large returns: Investing in sales and marketing automation.

Marketing is the key to growing your business. And, automation is a way to run your company while you work on growing your company ... in a systematic, "hands-free" sort of way.

Which marketing/sales tasks have you successfully automated in your business? Or how has automating some of those processes been helpful?

Looks like sitting can make you... dumber(?). One more good reason to get some physical activity in your daily work routine.

Got any favorite or creative short workouts that could be done inside or around your work schedule?

https://www.inc.com/jeff-haden/neuroscience-says-6-to-10-minutes-a-day-can-make-you-smarter-more-focused-increase-size-of-your-brain.html

Protecting your valuable assets is vital to a comprehensive financial plan. Creditors are relentless and will come after you for a host of reasons that you won't see coming: accidents, divorce, errors on the job from faulty workmanship ... and on and on.

Stop focusing on the what-ifs. Get your proactive thinking cap on and start identifying your assets and pinpointing what's at risk.

When you're interacting directly with clients, can you explain what you offer in 10 words or fewer? Perhaps 20? If not, it's time to work with your team to craft a concise elevator pitch. When you have this ready, you can clearly present your value proposition when the opportunity arises.

And then online, prep straightforward and readable content. Make sure your website or digital platforms have clear descriptions, including upfront pricing.

Have you managed the 10 words or fewer sales pitch for your business? If so, share below.

Self-Employment Tax Advantages for 4 Types of South bay Gig Workers

Self-Employment Tax Advantages for 4 Types of South bay Gig Workers Self-employment is alluring for a lot of reasons but especially for the tax advantages it affords for a variety of gig jobs.

Using AI in your business can be transformative... as far as the employees are willing to learn it and implement it into their processes. And it can be difficult to figure out the best way to help them do that. Here's one CEO's approach to AI integration.

What are some AI tools you've adopted into your line of work?

https://www.zdnet.com/article/3-ways-to-help-your-staff-use-generative-ai-confidently-and-productively/

The first question you'll have about neobanks is... "What is a neobank?" The one that should follow is "What’s the big appeal?" While there are drawbacks to this kind of banking, there are some advantages to using them.

⬇️ Thanks to their digital-only nature, neobanks generally have lower fees on their accounts as well as ATM usage.
⬆️ They offer higher interest rates on savings than a traditional bank.
🤑 They offer services like early paycheck access, instant spending notifications, and even budgeting tools.
⚠️ You'll want to make sure your deposits are protected through the neobank's partner bank. FDIC insurance is not as straightforward as with traditional banks.

Have you heard of neobanks? Thumbs up if you have.

If you use a neobank, would you share a little bit about your experiences?

What Is a Neobank and Why South bay People Might Consider One

What Is a Neobank and Why South bay People Might Consider One What is a neobank is the first question you might have when you hear the term. The second? Is it right for you? We have thoughts.

Less than two months until the tax extension deadline. It'll be here before you know it.

Reminder: A filing extension doesn't mean more time to pay Uncle Sam.

Time to get your filing squared away.

Do you have a problem knowing what to do with your financial data?

You need an experienced accountant to break it all down into understandable insights and actionable takeaways.

Some examples of what an accountant can do with the data your bookkeeper provides:
🔹 revenue and expenses analysis to assess profitability
🔹 cash flow examination to evaluate a company's liquidity
🔹 debt-to-equity ratio calculation to measure financial risk
🔹 inventory turnover numbers to gauge efficiency in managing stock
🔹 customer payment cycle analysis to assess collection effectiveness
🔹 industry benchmarks to compare a company's performance to competitors.

Sometimes we all just need a good story to help us see the good and have hope for the future.

This one is extra good. Let us know what you think.

https://www.stripes.com/history/2024-08-12/nurse-hospital-wwii-14840208.html

Your business needs an accountant and a bookkeeper. But what's the difference between them? The primary one lies in their focus.

📒 Bookkeeping is the process of recording financial transactions, such as sales, purchases, and payments. It involves data entry, categorization, maintaining accurate records, and knowing what questions to ask to make sure all available data is harvested.

🧮 Accounting, on the other hand, interprets and analyzes this financial data to provide insights into a business's financial health. Accountants prepare financial statements, manage taxes, provide financial advice based on the data, and assist with strategic planning.

In essence, bookkeepers are the recordkeepers, while accountants are the financial storytellers.

And your business needs a partnership between accountant, bookkeeper, and business owner if you want to move forward with knowledge and confidence.

We all know that politicians pledge a lot of things in their campaign cycle that seem like good things. Example: Both Harris and Trump are pledging to end taxes on tips.

Sounds great for those who work in industries that rely on tips, right?

Well, maybe not and here's why...

https://www.npr.org/2024/08/11/nx-s1-5071144/no-tax-on-tips-campaigns-trump-harris

One of the best ways to maximize your social security benefits is simply to wait to receive them. For sure wait until your full retirement age (which varies depending on birth year, 65 if born in 1937 or earlier; 67 if born in 1960 or later), but better to wait even as late as 70 to take them.

If you start say at age 62 (the earliest possible age), your benefits will be significantly reduced. You could lose nearly a third of the monthly benefit amount you would receive if you waited until your FRA.

Delaying benefits past your FRA can maximize social security benefits by up to 8 percent per year until age 70, thanks to delayed retirement credits.

4 Tax Scams on Social Media South bay Taxpayers Shouldn't Believe

4 Tax Scams on Social Media South bay Taxpayers Shouldn’t Believe  I saw this recently: Did you know that the internet is estimated to be something like 50% duplicated content?  Which means if one false thing is put out there – that seems convincing enough – chances are good that it’ll be duplicated into oblivion. So if JUST ONE bad actor is putting out f...

It’s still not too late this year to maximize your withholding from each paycheck and make sure you're paying enough quarterly to avoid a big nasty tax bill next April.

This is an especially important thing to do if you've had a big life change this year like getting married (or the other one), retiring from your job, or having a child.

And if you want to talk logistics for your tax situation with regard to any of those changes, give us a call.

Thumbs up or thumbs down on this one:
I dread getting letters from the IRS.

If you don't feel dread, is it because you have a tax professional you trust handling things? Or because you are really good at handling that kind of communication?

Let us know why in the comments.

Three Ways South bay Taxpayers Can Maximize Social Security Benefits Now

Three Ways South bay Taxpayers Can Maximize Social Security Benefits Now Nearing the time of your SS payout from Uncle Sam? Taking the right steps to maximize social security benefits should be your priority.

Sales strategies (that work) start with a good offer. And your offering is only as good as the ease in which you can describe it, especially when it comes to pricing.

When meeting with prospective clients, address pricing in a straightforward way. By being transparent with your pricing, you’re providing clear expectations AND building trust. Clients appreciate consistency, and dodging the topic can seem, well, dodgy.

As for your rates – these should be based on the real value of your services. Then stick to them confidently, which actually provides credibility.

The game of Monopoly can set off some serious unhappiness if it gets cutthroat enough... worse if someone cheats. Nobody likes a monopolist. Which is why a US federal judge declaring Google guilty of cornering the market on search and text advertising has a lot of people cheering.

Google loses antitrust case over search Google has illegally held a monopoly in search and text advertising, a federal judge ruled on Monday

No, you can't use gift cards to make tax payments.

https://youtu.be/Z9yRuyXt9vQ?feature=shared

Does the TV you use for video conferencing get glitchy sometimes? Well, there might be a way to fix that. (This works for your smart TV at home too.)

https://www.zdnet.com/home-and-office/home-entertainment/how-to-clear-the-cache-on-your-tv-and-why-you-should-do-it

Your approach to bookkeeping shouldn't be like Forrest Gump's proverbial life is like a box of chocolates metaphor. You always want to know what you're going to get when you open up the books.

And the truth is, a lot of business owners are flying by the seat of their pants trying to manage all the operational logistics of their business, all while the bills pile up, errors increase, and reports stop running.

If you're finding yourself guessing at the health of your business's finances, it's time to start thinking about entrusting those matters to a pro who can get things organized and get your company back on the success track.